Trade enhances the economic well-being of a nation in the sense that
a. both domestic producers and domestic consumers of a good become better off with trade, regardless of whether the nation imports or exports the good in question.
b. the gains of domestic producers of a good exceed the losses of domestic consumers of a good, regardless of whether the nation imports or exports the good in question.
c. trade results in an increase in total surplus.
d. trade puts downward pressure on the prices of all goods.
c
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Long-run unemployment in the classical model is considered to be impossible because
A. the government will intervene to aid the unemployed. B. the labor supply is horizontal. C. flexible prices and wages keep workers fully employed. D. job placement and training programs are rampant in the United States.
Since 1970, the U.S. economy has experienced 2 recessions.
Answer the following statement true (T) or false (F)